The Gunners have been scouting the 23-year-old playmaker this season, but Montpellier deputy chairman Laurent Nicollin has slapped the mammoth €100m valuation in an effort to warn off suitors.
Cabella has hit eight goals this term, and starred alongside Olivier Giroud a season ago as Montpellier stormed to the Ligue 1 title.
But Nicollin insists Cabella is not for sale. Speaking to RMC as reported by talkSPORT, Nicollin said: "He is non-transferable.
"We try to anticipate and plan things, even in football, but it's complicated.
"The desire of the club is to keep Remy - he was told and knows this. If a club arrives and offers 100m euros, it will be discussed though."
The report claims Cabella has been tracked by several European clubs, but Montpellier have now seemingly priced the player out of a move.
But the club on the south coast of France have struggled this term. The loss of top scorer Olivier Giroud to Arsenal is obviously a factor, but Montpellier cannot finish the season higher than seventh this term - well off the pace for Champions League qualification.
Arsenal, in contrast, managed to squeeze into Europe's elite club competition on the final day of the Premier League campaign with a 1-0 victory over Newcastle enough to hold off rivals Tottenham.
Cabella made 30 Ligue 1 appearances this season, scoring seven league goals and providing eight assists.